Vietnam Regulatory News

On June 16th, 2022, a decision approving Vietnam’s chemical industry development strategy was signed by deputy prime minister Le Van Thanh.  Under the strategies, new policies, tasks, and measur...

On June 16th, 2022, a decision approving Vietnam’s chemical industry development strategy was signed by deputy prime minister Le Van Thanh. 

Under the strategies, new policies, tasks, and measurements are established to implement new goals and evaluate industry’s performance. By 2030, domestic chemical industry will achieve sustainable growth and circular economy goals in an eco-friendly and sustainable manner. 

The chemical industry will be divided into 10 sub-categories, and each sub-category has a different product to be focused on research and development.

• Basic chemicals:  sodium, acid sulfuric, caustic soda flake, yellow phosphorus, thermal acid phosphoric and its derivatives, high economic valued phosphorus products, ammoniac products, nitrate salts, basic organic chemical products, solvents, ammonium nitrate, explosive precursors (dual-use chemicals), etc. 

• Petrochemistry: ammonia, methanol, ethylene, propylene, benzene, xylene, toluene, petrochemical/gasification (from natural gases) products, resin in primary forms, glues, synthetic rubber raw materials such as polyethylene (PE), polypropylene (PP), polyvinyl chloride (PVC), polystyrene (PS), acrylonitrile butadiene styrene (ABS), purified terephthalic acid (PTA), mono ethylene glycol (MEG), urea-formaldehyde (UF), melamine formaldehyde (MF), polyamide 6, etc. and other certain chemicals, additives and semi-finished products, etc.  

• Technical rubber: driving belts, felts, washers, conveyor belts and technical rubber accessories. 

• Pharmaceutical: antibiotic products; raw materials producing important medicines; extracts from herbal materials and semi-synthetics products from natural compounds. 

• Fertilizers: nitrogenous fertilizer, ammonium sulfate, sodium fertilizers, calcium ammonium nitrate 

• Pesticides: eco-friendly carbamate-based, active ingredients, azole ingredients and their derivatives, pyrethroid and validamycin ingredients pesticides. 

• Paint and Printing inks: resin slabs, filler powder and solvents such as acrylic, epoxy, and polyurethane, and specialized types of filler powder such as kaolin, calcium carbonate, silicon dioxide and high-performance paints such as UV/EB, nano, water-based, etc. 

• Detergent: new detergents and cosmetics that are from natural ingredients and eco-friendly. 

• Industrial gases: high-valued rare gases (Xenon, Krypton), specialty gases (high-purified gases, semiconductor gases, standard and mixed gases); producing hydrogen from renewable energy sources. 

• Electrochemical products: High-grade specialized batteries and cells such as sealed batteries, solid fuel cells, nickel–metal hydride batteries or Li-ion batteries, new-generation batteries used in advanced electronic equipment. 

The application of safeguard measures, valid from March 7, 2020 to September 6, 2022, was granted based on Decision no.715/QD-BCT which was issued on March 3, 2020. In Decision no.715, the application...

The application of safeguard measures, valid from March 7, 2020 to September 6, 2022, was granted based on Decision no.715/QD-BCT which was issued on March 3, 2020. In Decision no.715, the application periods for the safeguard measures were divided into 3 periods. In each period of time, the applicable safeguard tax rates are as follows: 

• From March 7, 2020 to March 6, 2021: 1.050.662 VND/ton 

• From March 7, 2021 to March 6, 2022: 1.029.219 VND/ton 

• From March 7, 2022 to September 6, 2022: 1.007.778 VND/ton 

On June 24, 2022, the Trade Remedies Authority open a public consultation to investigate the final review of the application of safeguard measures for imported DAP (Di-ammonium Phosphate) and MAP (Mono-ammonium Phosphate) fertilizers. On September 7, 2022, when the safeguard measures applied to imported DAP and MAP fertilizers expired, the Ministry of Industry and Trade decided not to extend the application. From September 7, 2022 onwards, the imported duty rate 0 VND/ton is applied for imported DAP and MAP fertilizers. 

This decision applies to inorganic fertilizers DAP and MAP with the HS (Harmonized System) code:  

• 3105.10.20 

• 3105.10.90 

• 3105.20.00 

• 3105.30.00 

• 3105.40.00 

• 3105.51.00 

• 3105.59.00 

• 3105.90.00 

On May 25 and 27, 2022, an online conference for the 35th ASEAN Cosmetic Committee (ACC) Meeting was held. The aim of the meeting was to provide up-to-date information on standards, rules and regulati...

On May 25 and 27, 2022, an online conference for the 35th ASEAN Cosmetic Committee (ACC) Meeting was held. The aim of the meeting was to provide up-to-date information on standards, rules and regulations in ASEAN region, in order to let the industry have sufficient time to plan for compliance in ASEAN member states. 

These are the following changes that are adopted during the meeting for the Updates and Amendments to the ASEAN Cosmetic Directive (ACD) in an official statement on July 6, 2022: 

• Climbazole (CAS number: 38083-17-9) and Titanium Dioxide (CAS number: 53936-56-4) are added to Annex III –  ‘The list of substances which cosmetic products must not contain except subject to restrictions and conditions’.  

• Titanium Dioxide was adopted in accordance with the EU amendment and correction to regulation on cosmetic products; the restriction applies to the use in face products in loose powder form and in hair aerosol spray products; herein the use of Titanium Dioxide as colorant and UV filter are updated to reflect the restricted use; starting from May 11, 2024 with the grace period of 24 months. 

• For Climbazole (CAS number: 38083-17-9), it is also proposed for ACD Annex VI – ‘The list of preservatives allowed for use in cosmetic products’.  

• This substance is allowed in these following product mix: shampoo (2% as anti-dandruff), hair lotion, face cream, hair conditioner (0.5%) with the margin of safety equal to 116; if the products are not extensively used in ASEAN member states; the grace period is 18 months starting from November 11, 2023. 

• 4-(3-ethoxy-4-hydroxyphenyl)-2-butanone (CAS no.: 569646-79-3) is added to Annex VI - ‘The list of preservatives allowed to use in cosmetic products’, applies to oral care products according to the EU amendment, comes into effect immediately. 

• Deoxyarbutin (CAS no: 53936-56-4) is added to Annex II – ‘The list of substances which must not form part of the composition of cosmetic products’, effective May 11, 2023 with a grace period of 12 months.  

• Dihydroxyacetone (CAS no.: 96-26-4) is amended in accordance with the EU regulation in Annex III – ‘The list of substances which cosmetic products must not contain except subject to restrictions and conditions’, starting from November 11, 2023, with the grace period of 18 months. 

• Isopropyl isostearate (CAS no.: 68171-33-5) is removed from the Annex II – ‘The list of substances which must not form part of the composition of cosmetic products’. 

Consultation on the proposed amendments to the Vietnamese rules on their restricted chemical licences, labelling, management logbooks, and annual reporting deadlines is currently ongoing until June 26...

Consultation on the proposed amendments to the Vietnamese rules on their restricted chemical licences, labelling, management logbooks, and annual reporting deadlines is currently ongoing until June 26, 2022. The approved changes would accordingly be applied to the existing chemicals law in Vietnam, Decree 113/2017/ND-CP.

The Draft Circular published on April 28, 2022, by the Ministry of Industry and Trade (MoIT) mainly proposes revision on several of the requirements stated in Circular No. 32/2017/TT-BCT Providing Guidelines for Implementation of the Law on Chemicals and the Decree No 113/2017/ND-CP.A key change seen in the proposals is that for hazardous chemicals called out in the chemicals law, companies concerned are obliged to prepare Safety Data Sheets (SDSs) before chemicals use and/or circulation in the market. To fulfill this requirement means to have information prepared according to Appendix 9 in the instructions.

It also proposes an amendment to the submission deadline for industrial annual reports which is to be altered from January 15 to February 15 for those activities relevant to chemicals. This includes where the dangerous chemical ingredients with a maximum concentration of 0.1% for mixtures would also have to be listed. Noteworthily, this does not apply to exempted chemicals in Annex II (i.e. the list of restricted chemicals) of the chemical law. Another highlight of the draft is the stipulation of the expiry date for the issuance or renewal of manufacturing or trade licences for restricted chemicals, which would be modified as “5 years from the issue date”. For the case of re-issued licences, the original expiry date will apply.

At the same time, guidance on management logbook preparations for manufacture, trade, and use of industrial precursors is brought up. Requests for chemical labelling to comply with effective regulations for goods as well as warning signs for dangerous chemicals transportation to comply with rules are also seen in the draft. The current progress of the Draft Circular could serve as a reminder to either the manufacturers or the importers of restricted chemicals that, upon the approval of the draft, compliance with the latest amendments would be crucially necessary.

On July 9, 2021, the General Department of Chemicals of the Ministry of Industry and Trade (MOIT) of Vietnam published a draft decree to amend Decree No. 113/2017/ND-CP regarding the Law on Chemic...

On July 9, 2021, the General Department of Chemicals of the Ministry of Industry and Trade (MOIT) of Vietnam published a draft decree to amend Decree No. 113/2017/ND-CP regarding the Law on Chemicals.

This amendment includes the addition of regulated chemicals under POPs convention, the designation of chemicals requiring special controls upon import, the establishment of concentration cut-off value for regulated chemicals, and supplements on exemption.

 The amendment includes the following:

·         Addition of ‘banned chemicals’, that is, 12 substances that are regulated by the Chemical Weapons Convention will be added to the Annex III list of banned chemicals

·         Addition of ‘restricted chemicals’, these are six substances regulated by the Stockholm Convention which will be added to the list of restricted chemicals of Annex IV in this new amendment. The six substances include Hexabromocyclododecane, Chlordecone, Pentachlorobenzene (PeCB), Polychlorinated naphthalene (PCN) Decabromodiphenyl ether (DBDE), Perfluorooctanoic acid (PFOA) and its salts.

·        Upon import, Nitrous oxide, cyanide, mercury, and mercury compounds will be newly designated as chemicals subject to special control. And after they are declared for import, MOIT will determine their compliance and notify the results while taking the annual import volume into account.

·        Concentration cut-off value will be specified and conditional chemicals, restricted chemicals, and chemicals to be declared will not be regulated if their concentration is less than 0.1%.

·        The annual reporting deadlines for chemical activities will change.

·         Entities engaged in various chemical activities are to submit the results of the previous year's activities to local authorities by January 15 of each year. The proposed amendment changes the deadline to February 15.

·         And there are also changes to the GHS classification categories.

The draft is expected to come into force in early 2022 with minor revisions.

Vietnamese National Chemical Inventory (NCI) Notification window opened on 16th October 2020 and is about to close on 15th April 2021. Vietnam began to compile the national chemical inventory (...

Vietnamese National Chemical Inventory (NCI) Notification window opened on 16th October 2020 and is about to close on 15th April 2021.

Vietnam began to compile the national chemical inventory (NCI) in 2012. Substances that are not listed on the inventory will be considered as new substances and require registration before they can be used, imported, or produced in Vietnam. So far, there are 5 times where companies can nominate substances to the inventory. The inventory contains about 40,000 substances. The new deadline for substance submission is April 15th, 2021. The final draft of the inventory is expected to be released by the end of this year.

If companies are exporting to Vietnam then for a smooth continued trade and to avoid heavier regulatory obligations later-on enterprises are encouraged to submit information on chemicals that have been imported, manufactured, and used in Vietnam.

The information required for submission are:

1. Chemical name,
2. CAS registry number,
3. Safety Data Sheet,
4. Proof of the chemical used in Vietnam (including purchase contracts, invoices, or custom forms).

GPC through its Vietnamese affiliates can help you with an end-to-end compliance solution for Vietnam! 
 

Update: 2021-02-28

Notification to the Vietnam chemical inventory is reopened the notification to the inventory may be done before 15th April 2021. A longer time duration of about six months is provided so that all stak...

Notification to the Vietnam chemical inventory is reopened the notification to the inventory may be done before 15th April 2021. A longer time duration of about six months is provided so that all stakeholders could gather relevant information and nominate the substances to the inventory. Its expected that the final inventory would be published in 2022.

If a substance is not notified into the inventory with the designated period it would be considered as a New substance and would be subjected to Risk Assessment.

information To be submitted in the inventory

For online registration process, company must be a legally registered business entity in Vietnam with a tax identification number. It should submit:

• chemical name;
• Cas number;
• safety data sheets (SDSs); and
• evidence or documentation proving the chemical has been used in the Vietnamese market (this can include purchasing contracts and invoices).

Once registered online, companies will be able to search the site for chemicals. The search results will give their status, which falls into four categories:

• nominated and verified – for this group, no further action is required. The chemicals have been included on the draft inventory;
• nominated with some documentation – chemical substances that have been nominated, but have not yet been verified. In this case, companies can choose to attach further evidence or documentation. They are encouraged to submit additional evidence if feasible. If a company declines to do so, and any information submitted by another company looking to nominate the same substance is also deemed insufficient, the substance will not be added to the draft list of chemicals;
• nominated – chemical substances that have been nominated but no documentation submitted. If no evidence is provided for these chemicals, they will not be added to the draft inventory; and
• not nominated – if not listed, then these chemical substances have not yet been nominated. Companies can do so and submit the required evidence.